Arkose Labs, a fraud and abuse prevention company, recently announced that it has raised a funding round of $70 million led by the SoftBank Vision Fund 2 and other investors.
The company said that it will use the funds to help protect businesses from automated attacks and extend its platform capabilities to bankrupt the business of fraud. This is a significant development in the push to make the internet safer and eliminate fraudulent activities.
Let’s take a closer look at the details of this funding round and its impact on the industry.
Overview of Arkose Labs
Arkose Labs is an anti-fraud and trust platform, providing enterprise-level protection to organisations across financial services, gaming, ecommerce and digital engagement. Arkose Labs has a technology-based approach to preventing online fraud that goes beyond traditional rule and anomaly-based approaches. Using a combination of automated challenge mechanisms based on dynamic profiling of authorised users, Arkose Labs disrupts the operability of fraudulent activities while maintaining the convenience and freedom of legitimate customers. The company also provides support in maintaining brand reputation against fraudsters.
In 2021, Arkose Labs announced plans to use their USD 200 million revenue from their customers including Microsoft and PayPal to create an investment fund for companies that are actively eliminating fraud in other industries. With this initiative, the company aims to extend its success in combating fraudulent activities within different markets by giving back funding to smaller companies actively working towards reducing fraud in their respective businesses. In addition, Arkose Labs aims to help early-stage businesses drive mission-driven success in fighting online fraud by providing access to resources and capital.
Purpose of funding
Arkose Labs, a leading online fraud and abuse prevention service provider, recently secured $58 million in Series B funding from investors including PayPal Ventures and NTT DOCOMO Ventures.
With this investment, the company will be able to expand its services and capabilities and significantly ramp up its efforts to reduce online fraud for businesses worldwide.
By leveraging their deep expertise and expansive network of partners, Arkose Labs is uniquely positioned to combat online fraud from multiple angles. This latest funding round will allow them to scale up the resources necessary to proactively protect companies against fraudulent activities such as fake accounts, chargebacks, account takeover attempts and other types of fraud used by malicious actors.
Additionally, the funds will allow Arkose Labs to bankrupt businesses through targeted resource-intensive investigations that track user behaviour over time – an approach that has proven successful in forcing fraudulent entities out of business at home and abroad.
Arkose Labs Raises $70 Million Led by SoftBank Vision Fund 2 to Bankrupt the Business of Fraud
Arkose Labs, a global anti-fraud and abuse company, announced that it has raised a Series B funding round of $70M led by SoftBank Vision Fund 2.
This investment will enable Arkose Labs to further its mission to protect corporate customers using its platforms from fraud and abuse and bankrupt the business of fraud and other malicious actors.
Details of the investment
SoftBank Vision Fund 2 recently announced a $100 million investment in Arkose Labs, a provider of online security solutions and fraud prevention. This marks the latest in a string of investments made by SoftBank into organisations focused on improving the online experiences for consumers and businesses alike.
The funds will be used to further develop Arkose Labs’ Fraud and Abuse Prevention Platform, an AI-powered product suite that helps detect and prevent fraud attacks. The platform comprises technologies such as throttling, behaviour analysis, dispute management and risk advice that work together to determine an authenticated identity and reduce fraudulent activity. Additionally, the investment will allow Arkose Labs to expand their product offerings to help manage challenges such as account takeovers, payment fraud, data breaches and phishing attacks.
With this new capital backing, SoftBank believes that Arkose Labs will be able to continue its mission of creating secure online experiences for companies, customers and partners around the world.
The funding comes at a critical time in the industry when criminals’ sophistication level and attack rate are increasing dramatically. With this new influx of funds it is expected that Arkose Labs will be able to launch numerous initiatives with their customers to aggressively bankrupt the business model used by cybercriminals by drastically reducing fraud loss rates while simultaneously making it much harder for them to achieve access or monetize stolen data. Furthermore, by focusing on developing innovative methods such as AI-trackers on dark websites and virtual firewalls powered by advanced discrimination model technology; SoftBank believes that this strategic investment can have immediate business impacts from stopping fraudulent operations before they start.
Significance of the investment
One of the key objectives for SoftBank Vision Fund 2 to invest in Arkose Labs is to bankrupt fraudsters. Fraud-as-a-service (FaaS) has increased, making it easier for non-technical criminals and fraud networks to acquire and deploy sophisticated automated tools. The lack of access to dedicated funds or resources has been noted as a primary issue in the fight against FaaS.
This strategic investment gives Arkose Labs access to capital needed to scale its operations while providing an opportunity for long term, sustainable growth. With this funding, called forward venture, Arkose Labs will be able to develop innovative fraud prevention technologies against FaaS attacks and help businesses protect their customer data from malicious actors. In addition, this capital injection allows for much needed R&D investments that can help further improve upon their existing products and services which continuously disrupt cybercriminals.
Above all, this strategic investment into Arkose Labs boosts efforts towards global fraud control as more companies are now equipped with enhanced capabilities to combat these threats from a more preventative position instead of a reactive one.
Arkose Labs Solutions
Arkose Labs recently raised $70 million in a Series B round of financing led by SoftBank Vision Fund 2. This money will be used to further develop their technology aimed at bankrupting the business of fraud.
With the help of their solutions, businesses can quickly identify and prevent fraud in real-time. Let’s take a look at the various solutions that Arkose Labs have to offer.
Overview of Arkose Labs solutions
Arkose Labs is a company dedicated to simplifying fraud prevention and risk management for businesses. Their innovative solutions all integrate seamlessly with existing business processes and use a combination of machine learning and identity verification technologies to protect against online fraud.
Their suite of Arkose Fraud and Risk Solutions includes:
– Arkose Fraud Challenge: This powerful solution enables organisations to quickly identify and challenge suspicious activities. Using advanced contextual intelligence, the Arkose Fraud Challenge platform rejects automated attacks and human generated fraudulent activity through authentication questions, device fingerprinting and IP intelligence.
– ArkoseUSERID™: This identity validation solution verifies user account information using digital devices such as smartphones or tablets for added security during registration, login or account access. By ensuring details given are correct, it decreases the risk of fraudulent users taking over any profiles within an organisation’s systems.
– Arkose Passwords™: This sophisticated password manager acts as an added layer of security at both the individual user level and organisation level, allowing customers to group identities across multiple platforms with a single password Remembering hundreds of unique passwords is no longer necessary!
– Arkose Compliances™: This artificial intelligence driven tool boosts compliance by automatically finding mismatches in financial records based on customer input like age, address, social security numbers etc., making it easier for businesses to comply with local data privacy rules across regions.
The team at Arkose Labs understands the importance of detecting fraudulent activities quickly – protection is paramount! As their solutions evolve they can provide services that meet your specific needs so that you can be assured your customers have seamless experiences when placing orders online or even interacting with your customer service teams – whether on the web or in person.
How it will help bankrupt the business of fraud
Arkose Labs was formed in June 2018 to develop a unique solution which could leverage technology to detect and prevent online fraud attacks. The San Francisco-based startup aims to use advanced machine learning technologies to protect online service providers from financial losses caused by fraudulent activity.
Arkose Labs has raised millions of dollars from investors, such as PayPal Ventures and Accel Partners, to fund this mission. This funding will enable the company to create a platform that can accurately detect sophisticated fraud attacks in real time while preventing legitimate users from being blocked or inconvenienced. In addition, the invested funds will help automate the bankruptcy process for businesses that perpetrate fraudulent activities.
By using this automated process, Arkose Labs aims to substantially reduce operational costs and time associated with bankruptcy filings while ensuring justice is served quickly and efficiently in fraud cases. In addition, this efficient system is expected to produce a much needed financial impact on fraudsters and their accomplices who have managed to keep their assets safe due to long court proceedings that usually follow legal action against them. Moreover, it is hoped that this automated system will help bankrupt the business of fraud quickly and effectively by freeing up resources more efficiently than manual means can achieve any longer.
Impact of the Investment
Arkose Labs’s $70 million investment from SoftBank Vision Fund 2 is a major step forward in its fight against fraudsters. This funding will be used to expand its product suite, which will help Arkose Labs protect customers from fraud and abuse.
But what effect will this investment have on the overall market? We’ll explore that in this article and analyse the potential impact of the investment.
Benefits to Arkose Labs
Arkose Labs will benefit from the new capital injection in many ways:
- The company will be able to increase staff and expand operations to better meet its customer needs, including creating new products and services for existing customers.
- More resources can now be allocated to research & development activities and help build the core technology platform necessary to combat fraud and protect businesses.
- The capital infusion will boost marketing initiatives and enhance brand visibility online, increasing customer engagement with Arkose Labs’ products and services.
Additionally, the company intends to use allocated funds to help further bankrupt fraudulent activities with several initiatives targeting scammers specifically. Such measures would include an increase in infringement efforts against malicious actors who break their terms of service and an aggressive outreach campaign that encourages customers to review their security practices and beware of suspicious behaviour to better protect themselves from fraudsters.
Finally, financing agreements associated with this round of funding may also allow for organic growth by establishing travel partnerships for international expansion opportunities. These efforts should strengthen Arkose Labs’ reputation as a formidable advanced fraud detection solutions player.
Impact on the industry
The investment in Arkose Labs by Visa and PayPal greatly boosts the fraud prevention industry. In addition, the investment shows that Visa and PayPal recognize the growing threat of fraud and the importance of secure network transactions. This recognition will spur more investment in this field, as companies recognize that they need to upgrade their systems to keep up with emerging fraud trends.
It demonstrates that large corporations like Visa and PayPal are willing to take risks backing innovative technology companies. Arkose Labs’ technology is based on artificial intelligence, machine learning, and behavioural analytics that quickly, efficiently, and reliably identify fraudulent activities. It can detect malicious actors attempting to gain access to accounts or committing fraudulent activities using stolen identities or other techniques. The partnership will give Arkose Labs access to huge datasets from Visa and PayPal networks that it could use to train its algorithms and further improve its technology.
This is likely to have far-reaching implications for the resources available for fighting fraud and how companies think about preventing it in the first place. With this investment, companies are likely to commit more resources upfront into researching potential protection methods against malicious actors instead of waiting until after a breach occurs before responding with adequate security measures. Ultimately, this investment could benefit not just Arkose Labs but all those involved in fraud prevention by providing additional tools for tackling this growing problem.
tags = Arkose Labs, Raises $70 Million, Led by SoftBank Vision Fund 2, Business of Fraud, provider of online fraud and abuse prevention technology, arkose 70m series fundwiggersventurebeat, cybercrime, protects digital businesses